BRISBANE, Australia, April
26, 2017 /CNW/ -- Orocobre Limited (ORE:ASX, ORL:TSX)
(Orocobre or the Company) is pleased to provide an
update from its joint venture (JV) partner Advantage Lithium Corp.
(TSXV:AAL) (Advantage Lithium) that Phase One drilling will
commence early next week at its flagship lithium property, located
in the Cauchari Salar of Jujuy province in NW Argentina. Phase one will be a five hole
program and Phase two drilling is planned for later in 2017,
comprising a further 12 holes and leading to a scoping study by
early 2018.
Advantage Lithium is increasing its interest in the project from
the current 50% to 75% through the expenditure of US$5m or by completing a Feasibility Study.
Orocobre holds the remaining interest.
The Cauchari project lies approximately 20 kilometres south of
Orocobre's producing Olaroz Lithium facility.
Highlights
- Phase One drilling: a five hole rotary drill program scheduled
to begin during the week commencing 1 May,
2017
- Phase Two drilling: A follow-up, twelve hole diamond drill
program to commence later in 2017
- Drilling will focus on potential extensions of the existing
inferred resource at Cauchari and exploration where no previous
drilling has been conducted. A large exploration target1
has been defined with a range of 125 to 1,855 million cubic metres
of brine at between 260 and 600mg/l lithium and 2,500 to 5,350mg/l
potassium for the lower and upper ranges1 respectively;
this represents an in-situ range of contained product of between
0.25 to 5.6mt of lithium carbonate equivalent (LCE) and
0.9 to 19 mt of potash (KCl).
Commenting on the update, Managing Director Richard Seville stated, "We are extremely
pleased with this progress update from our JV partner Advantage
Lithium and their commitment to fast-tracking exploration and
development works at Cauchari."
Please see the attached release from Advantage Lithium for
further details.
For more
information please contact:
|
|
Richard
Seville
|
Andrew
Barber
|
Managing
Director
|
Investor Relations
Manager
|
T: +61 7 3871
3985
|
T: +61 7 3871
3985
|
M:+61 419 916
338
|
M: +61 418 783
701
|
E:
rseville@orocobre.com
|
E:
abarber@orocobre.com
|
Notes:
- An exploration target is not a mineral resource. The potential
quantity and grade of the exploration target is conceptual in
nature, and there has been insufficient exploration to define a
Mineral Resource in the volume where the Exploration Target is
outlined. It is uncertain if further exploration drilling will
result in the determination of a Mineral Resource in this
volume.
About Orocobre Limited
Orocobre Limited is listed on the Australian Securities Exchange
and Toronto Stock Exchange (ASX:ORE) (TSX:ORL), and is building a
substantial Argentinian-based industrial chemicals and minerals
company through the construction and operation of its portfolio of
lithium, potash and boron projects and facilities in the Puna
region of northern Argentina. The
Company has built, in partnership with Toyota Tsusho Corporation
and JEMSE, the first large-scale, greenfield brine based lithium
project in approximately 20 years at the Salar de Olaroz with
planned production of 17,500 tonnes per annum of low-cost lithium
carbonate.
The Olaroz Lithium Facility has a low environmental footprint
because of the following aspects of the process:
- The process is designed to have a high processing recovery of
lithium. With its low unit costs, the process will result in low
cut-off grades, which will maximise resource recovery.
- The process route is designed with a zero liquid discharge
design. All waste products are stored in permanent impoundments
(the lined evaporation ponds). At the end of the project life the
ponds will be capped and returned to a similar profile following
soil placement and planting of original vegetation types.
- Brine is extracted from wells with minimum impact on freshwater
resources outside the salar. Because the lithium is in sedimentary
aquifers with relatively low permeability, drawdowns are limited to
the salar itself. This is different from halite hosted deposits
such as Salar de Atacama, Salar de
Hombre Muerto and Salar de Rincon
where the halite bodies have very high near surface permeability
and the drawdown cones can impact on water resources around the
Salar affecting the local environment.
- Energy used to concentrate the lithium in the brine is solar
energy. The carbon footprint is lower than other processes.
- The technology developed has a very low maximum fresh water
consumption of <20 l/s, which is low by industry standards. This
fresh water is produced by reverse osmosis from non-potable
brackish water.
- Sales de Jujuy S.A. is also committed to the ten principles of
the sustainable development framework as developed by The
International Council on Mining and Metals. The company has an
active and well-funded "Shared Value" program aimed at the long
term development of the local people.
The Company continues to follow the community and shared value
policy to successfully work with suppliers and the employment
bureau to focus on the hiring of local people from the communities
of Olaroz, Huancar, Puesto Sey, Pastos Chicos, Catua, Susques,
Jama, El Toro, Coranzulí, San Juan and Abrapampa. The project
implementation is through EPCM (Engineering, Procurement and
Construction Management) with a high proportion of local
involvement through construction and supply contracts and local
employment. The community and shared value policy continues to be a
key success factor, training local people under the supervision of
high quality experienced professionals.
The Company also wholly-owns Borax Argentina, an important
regional borate producer.
For further information, please visit
www.orocobre.com
Competent Person's and Qualified Person's
Statement
The technical information in this announcement has been
prepared by Murray Brooker of
Hydrominex Geoscience. Murray
Brooker is a geologist and hydrogeologist and is a Member of
the Australian Institute of Geoscientists. Murray has
sufficient relevant experience to qualify as a competent person
as defined in the 2012 edition of the Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore
Reserves. He is also a "Qualified Person" as defined by
Canadian Securities Administrators' National Instrument
43-101. Murray Brooker
consents to the inclusion in this announcement of this
information in the form and context in which it appears.
Additional information relating to the Company's Cauchari
project is available in the existing technical report entitled
"Technical Report – Cauchari Project, Argentina" dated April
30, 2010, which was prepared by John
Houston.
Caution Regarding Forward-Looking Information
This report contains "forward-looking information" within the
meaning of applicable securities legislation. Forward-looking
information contained in this report may include, but is not
limited to, the estimation and realization of resources at the
Cauchari project, the viability, recoverability and processing of
such resources, potential operating synergies between the Cauchari
project and the Olaroz project, and other matters related to the
development of the Cauchari project.
Such forward-looking information is subject to known and
unknown risks, uncertainties and other factors that may cause
actual results to be materially different from those expressed or
implied by such forward-looking information, including but not
limited to the risk that further funding may be required, but
unavailable, for the ongoing development of the Company's projects;
changes in government regulations, policies or legislation;
fluctuations or decreases in commodity prices; the possibility that
required permits may not be obtained; uncertainty in the estimation
or economic viability of mineral resources; general risks
associated with the feasibility and development of the Cauchari
project; unexpected capital or operating cost increases;
uncertainty of meeting anticipated program milestones; as well as
those factors disclosed in the Company's Annual Information Form
for the year ended June 30, 2016
filed at www.sedar.com.
The Company believes that the assumptions and expectations
reflected in such forward-looking information are reasonable.
Assumptions have been made regarding, among other things: the
Company's ability to carry on its exploration and development
activities, the timely receipt of required approvals, the prices of
lithium and potash, the ability of the Company to operate in a
safe, efficient and effective manner and the ability of the Company
to obtain financing as and when required and on reasonable
terms. Readers are cautioned that the foregoing list is not
exhaustive of all factors and assumptions which may have been
used.
There can be no assurance that forward-looking information
will prove to be accurate, as actual results and future events
could differ materially from those anticipated in such
information. Accordingly, readers should not place undue
reliance on forward-looking information. The Company does not
undertake to update any forward-looking information, except in
accordance with applicable securities laws.
ADVANTAGE LITHIUM CORP.
#1305 -
1090 West Georgia Street
Vancouver, BC V6E 3V7
Tel: 604.343.3760 Fax: 604-683-1585
www.AdvantageLithium.com
TSX Venture Exchange Symbol: AAL
Advantage Lithium Mobilizes Rig for Phase 1
Drilling at Cauchari, Argentina
Drilling represents first step in
systematic, fast-track exploration and development
program
Vancouver, British Columbia,
April 26, 2017 – Advantage Lithium
Corp. (the "Company" or "Advantage Lithium")
(TSXV: AAL; OTCQX: AVLIF) is pleased to announce that a
drill rig will be mobilized later this week to its flagship lithium
property located in the Cauchari Salar of Jujuy province in
NW Argentina. The first hole of a
five-hole, Phase One program is expected to be collared early next
week. This marks the Company's first step in a systematic,
fast-track exploration and development work program. Phase Two
drilling is planned for later in 2017 and will comprise a further
twelve holes leading to a scoping study by early 2018. Advantage
Lithium is increasing its interest in the project from the current
50% to 75% through the expenditure of US$5m or completing a Feasibility Study.
Orocobre (ASX:ORE; TSX:ORL) holds the remaining interest.
Cauchari News Highlights
- Phase One drilling: a five hole rotary drill program scheduled
to begin during the week commencing May 1,
2017.
- Phase Two drilling: A follow-up, twelve hole diamond drill
program to commence later in 2017.
- Drilling will focus on (a) potential extensions of the existing
inferred resource at Cauchari and (b) exploration where no previous
drilling has been conducted. A large exploration target1
has been defined with a range of 125 to 1,855 million cubic meters
of brine at between 260 and 600mg/l lithium and 2,500 to 5,350mg/l
potassium for the lower and upper ranges1 respectively;
this represents an in situ range of contained product of between
0.25 to 5.6mt of lithium carbonate equivalent (LCE) and
0.9 to 19mt of potash (KCl).
David Sidoo, CEO of Advantage
Lithium, commented, "In line with our aggressive development
timeline, we are commencing work at our flagship
Argentina project of Cauchari,
just weeks after completing the transaction with our partner,
Orocobre. We will be focusing on expanding the existing resource at
the project where a large exploration target has been projected. We
have engaged Andina Perforaciones, one of Argentina's leading drilling contractors, to
undertake the initial phase of what will ultimately be a 17 hole
program."
Cauchari Project Information
- Existing Inferred Resource: Host to an inferred resource
containing an estimated 230 million cubic metres of brine at ~380
mg/l Li and 3,700 mg/l K. This is equivalent to 470,000 tonnes of
lithium carbonate (~88,000 tonnes lithium metal) and 1.62 million
tonnes of potash (KCl – equivalent to ~840,000 tonnes of
potassium).
- Near-Surface. This initial resource estimate is based on
five shallow diamond drill holes to an average depth of 50-170m and
open to depth.
- Exploration Potential. An exploration target has been
defined in the NW blocks of the JV property, in addition to that
beneath the original resource estimate in the SE property blocks.
The combined exploration target in the Cauchari JV properties both
west and east of properties held by Lithium Americas Corp. is
defined with a range of 125 to 1,855 million cubic meters of brine
at between 260 and 600mg/l lithium and 2,500 to 5,350mg/l potassium
for the lower and upper ranges1 for 0.25 to 5.6mt of
lithium carbonate equivalent (LCE) for the lower and upper ranges
respectively.
- Close Proximity to Orocobre's Lithium Facility.
Proximity to Orocobre's Olaroz operation and similarity in brine
chemistry provides options for future production alternatives.
Program Details
The initial, Phase 1 drill program scheduled to start next week
consists of five rotary drill holes targeting the north-west (NW)
and south-east (SE) blocks of the property with a surface area of
~5,500 hectares These will be deep holes to approximately 400m
below the salar surface, with the objective of (1) probing for
extensions laterally and to depth below the existing inferred
mineral resource in the SE sector and (2) opening a new front in
the NW sector which the company believes to be prospective for
extensions of lithium-bearing brine below the Archibarca alluvial
fan.
Later in 2017, a complementary 12-hole diamond drill (DDH)
program will be initiated to provide core for aquifer parameter
tests and to also install monitoring holes for pump tests on the
primary rotary holes. Additional rotary and/or diamond drill holes
will be added as justified by initial results as we proceed towards
engineering studies.
Specialized packer instrumentation will be used to collect brine
samples for analysis under strict QA/QC protocols monitored by a
Qualified Person as required by NI43-101 guidelines. In-hole
geophysical profiling and geological logging will provide the basis
for determining the most promising aquifer zones for packer
tests.
Considerable technical and operating skill is required to
successfully complete exploration and brine pumping wells in the
unconsolidated sedimentary sequences of the salars and to do so at
4,000m above sea level in a rigorous climatic region with sub-zero
winter temperatures. The company is therefore most pleased to have
signed a contract and to be working with Andina Perforaciones who
have multiple years of practical experience in Cauchari and other
salars of NW Argentina. Together
with the Company's technical staff and supporting community
relations team, the company expects to complete the Phase 1 work
program by year-end 2017.
(1) An exploration target is not a mineral resource.
The potential quantity and grade of the exploration target is
conceptual in nature, and there has been insufficient exploration
to define a Mineral Resource in the volume where the Exploration
Target is outlined. It is uncertain if further exploration drilling
will result in the determination of a Mineral Resource in this
volume.
The technical information in this news release has reviewed and
approved on behalf of the company by Murray
Brooker, MAIG, RPGEO, a "Qualified Person" as defined in NI
43-101.
About Advantage Lithium Corp.
Advantage Lithium Corp. is a resource company specializing in
the strategic acquisition, exploration and development of lithium
properties and is headquartered in Vancouver, British Columbia. The common shares
of the company are listed on the TSX Venture Exchange (TSX-V:AAL),
and the company is also traded on the OTCQX Best Market in the U.S.
(OTCQX: AVLIF). The company has acquired a 100% interest in five
projects in Argentina and up to a
75% interest in a sixth, called Cauchari. Cauchari is located just
20 km south of Orocobre's flagship Olaroz Lithium Facility. The
Company is also earning an interest from Nevada Sunrise Gold Corp.,
in a portfolio of five lithium brine projects in the Clayton and
Lida Valley regions of Nevada,
USA, including 70% in Clayton NE.
Further information about the Company can be found at
www.advantagelithium.com.
ADVANTAGE LITHIUM CORP.
Per: "David
Sidoo"
David
Sidoo, President
Tel:
604.343.3760 | Fax: 604.683.1585
Email:
info@advantagelithium.com
Cautionary Statement:
Certain information contained in this press release constitutes
"forward-looking information", within the meaning of Canadian
legislation. Generally, these forward-looking statements can be
identified by the use of forward-looking terminology such as "is
expected","intends", or "has the potential to". Forward
looking statements contained in this press release may include
statements regarding the future operating or financial performance
of Advantage that involve known and unknown risks and uncertainties
which may not prove to be accurate. Actual results and outcomes may
differ materially from what is expressed or forecasted in these
forward-looking statements. Such statements are qualified in their
entirety by the inherent risks and uncertainties surrounding future
expectations. The forward-looking statements included in this press
release are made as of the date of this press release and the
Company disclaims any intention or obligation to update or revise
any forward-looking statements, whether as a result of new
information, future events or otherwise, except as expressly
required by applicable securities legislation.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/orocobreadvantage-lithium-to-commence-drilling-at-cauchari-300446841.html
SOURCE Orocobre Limited